STOCKS RALLY: Here's what you need to know

Stocks rallied to end a two-day streak of declines ahead of the
crucial jobs data on Friday.

First, the scoreboard:

Dow: 17,924.06, +82.08, (0.46%)

S&P
500: 2,088.00, +7.85,
(0.38%)

Nasdaq: 4,945.54,
+25.90, (0.53%)

And now, the
top stories on Thursday:

Initial jobless claims are still near multi-decade
lows.Last week, the number of
claims totaled 265,000, fewer than expected and up just
slightly from the prior week's tally of 262,000, which was
nearly a 40-year low for the reading. Expectations were for
claims to total 278,000 last week. "The solid progress in labor
market separations evidenced in this morning’s report, for both
initial and continuing unemployment, supports our view that
nonfarm payroll growth should recover to 250k in tomorrow’s
April employment report," Barclays' Jesse Hurwitz wrote.

Lumber Liquidators will stop selling its laminate flooring
sourced in China. A CBS "60 Minutes" episode March 1 showed
that samples tested had levels of
formaldehyde that exceeded regulatory standards. In a
statement, the company said its pulling the products as it
investigates its suppliers in the country, and amid "mounting
industry concerns." Hedge fund manager Whitney
Tilsonwrote
in a statement: "This is one of the most immoral, reckless
and truly insane decisions I have ever seen a company make."
Tilson is short the stock, betting it will fall, and was
interviewed in the "60 Minutes" episode.

Tomorrow is jobs
day. Economists forecast that in April, nonfarm payrolls grew
by 230,000, from the disappointing 126,000 print in March. The
consensus is for a drop in the unemployment rate to 5.4% from
5.5%. And, the forecast for average hourly earnings is a 0.2%
gain month-on-month, ticking lower from 0.3% in March,
according to data from Bloomberg. "While labor market
indicators were mixed in April, the employment components of
service-sector surveys were strong, and better weather
conditions should provide a boost,"
Goldman's David Mericle wrote. And, UBS anticipates that
the weak print on private payrolls from
ADP will not dent Friday's data, due to possible weather
distortions.

Consumer
credit rose by $20.5 billion in March, up from $14.8 billion
last month and more than the $15.8 billion that was expected,
according to the Federal Reserve.